SG doesn't seem to have any tags that allow you to post the html embed code and have the browser interpret it as such. It replaces all the important characters like " and & with " and & in the source code. Right now it seems the best you can do is to replace the [VIDEO] tag you used with a [URL] tag instead so people don't have to copy-paste it.
It looks like he downloaded the video from the link you gave, and then uploaded it to the site (the link is directly to the file itself. Don't know why I didn't think of it myself. Message me and I can probably step you through it. Alternatively, you could ask him for the link he embedded.
Good point. It's pretty simple actually. Just go to the link you posted and hit CTRL+S (Command+S on a mac) and save it. Then you just need to upload the video you downloaded to your SG videos.
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